Grassley to New Administration: Consider Disaster States in Economic Stimulus


  

          WASHINGTON- Senator Chuck Grassley and several Senate colleagues today asked the Obama administration to consider states that suffered from natural disasters in 2008 as they work on an economic stimulus measure. Grassley and six other Senators from disaster states wrote Office of Management and Budget Director-Designate Peter Orszag, asking the Administration to waive Federal Emergency Management Agency (FEMA) matching requirements for states that received $100 million or more in FEMA assistance in 2008. Estimates suggest Iowa could owe as much as $200 million in FEMA match requirements.

 

          "State budgets have been hit with a double whammy. After the flood waters receded and thousands of Iowans began to clean-up after the historic natural disaster, it became clear we were dealing with a nationwide economic recession," Grassley said. "States like Iowa that experienced a loss of revenue due to the disaster faced further budget shortfalls from the economic downturn. Relieving these battered states of their FEMA burden would go a long way to help them provide necessary services to their already suffering citizens." 

 

          Grassley will be working this Congress to continue bringing disaster relief to Iowans.  Click here for a copy of the letter.